103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0032 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/1-10410 ILCS 705/15-100410 ILCS 705/30-30410 ILCS 705/35-25 Amends the Cannabis Regulation and Tax Act. Provides that premises may be shared between up to 3 craft growers, an infuser organization, a cultivation center, a dispensing organization, or any combination thereof, provided that specified requirements are met. Effective immediately. LRB103 03547 CPF 48553 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0032 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/1-10410 ILCS 705/15-100410 ILCS 705/30-30410 ILCS 705/35-25 410 ILCS 705/1-10 410 ILCS 705/15-100 410 ILCS 705/30-30 410 ILCS 705/35-25 Amends the Cannabis Regulation and Tax Act. Provides that premises may be shared between up to 3 craft growers, an infuser organization, a cultivation center, a dispensing organization, or any combination thereof, provided that specified requirements are met. Effective immediately. LRB103 03547 CPF 48553 b LRB103 03547 CPF 48553 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0032 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/1-10410 ILCS 705/15-100410 ILCS 705/30-30410 ILCS 705/35-25 410 ILCS 705/1-10 410 ILCS 705/15-100 410 ILCS 705/30-30 410 ILCS 705/35-25 410 ILCS 705/1-10 410 ILCS 705/15-100 410 ILCS 705/30-30 410 ILCS 705/35-25 Amends the Cannabis Regulation and Tax Act. Provides that premises may be shared between up to 3 craft growers, an infuser organization, a cultivation center, a dispensing organization, or any combination thereof, provided that specified requirements are met. Effective immediately. LRB103 03547 CPF 48553 b LRB103 03547 CPF 48553 b LRB103 03547 CPF 48553 b A BILL FOR HB0032LRB103 03547 CPF 48553 b HB0032 LRB103 03547 CPF 48553 b HB0032 LRB103 03547 CPF 48553 b 1 AN ACT concerning health. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Cannabis Regulation and Tax Act is amended 5 by changing Sections 1-10, 15-100, 30-30, and 35-25 as 6 follows: 7 (410 ILCS 705/1-10) 8 Sec. 1-10. Definitions. In this Act: 9 "Adult Use Cultivation Center License" means a license 10 issued by the Department of Agriculture that permits a person 11 to act as a cultivation center under this Act and any 12 administrative rule made in furtherance of this Act. 13 "Adult Use Dispensing Organization License" means a 14 license issued by the Department of Financial and Professional 15 Regulation that permits a person to act as a dispensing 16 organization under this Act and any administrative rule made 17 in furtherance of this Act. 18 "Advertise" means to engage in promotional activities 19 including, but not limited to: newspaper, radio, Internet and 20 electronic media, and television advertising; the distribution 21 of fliers and circulars; billboard advertising; and the 22 display of window and interior signs. "Advertise" does not 23 mean exterior signage displaying only the name of the licensed 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0032 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/1-10410 ILCS 705/15-100410 ILCS 705/30-30410 ILCS 705/35-25 410 ILCS 705/1-10 410 ILCS 705/15-100 410 ILCS 705/30-30 410 ILCS 705/35-25 410 ILCS 705/1-10 410 ILCS 705/15-100 410 ILCS 705/30-30 410 ILCS 705/35-25 Amends the Cannabis Regulation and Tax Act. Provides that premises may be shared between up to 3 craft growers, an infuser organization, a cultivation center, a dispensing organization, or any combination thereof, provided that specified requirements are met. Effective immediately. LRB103 03547 CPF 48553 b LRB103 03547 CPF 48553 b LRB103 03547 CPF 48553 b A BILL FOR 410 ILCS 705/1-10 410 ILCS 705/15-100 410 ILCS 705/30-30 410 ILCS 705/35-25 LRB103 03547 CPF 48553 b HB0032 LRB103 03547 CPF 48553 b HB0032- 2 -LRB103 03547 CPF 48553 b HB0032 - 2 - LRB103 03547 CPF 48553 b HB0032 - 2 - LRB103 03547 CPF 48553 b 1 cannabis business establishment. 2 "Application points" means the number of points a 3 Dispensary Applicant receives on an application for a 4 Conditional Adult Use Dispensing Organization License. 5 "BLS Region" means a region in Illinois used by the United 6 States Bureau of Labor Statistics to gather and categorize 7 certain employment and wage data. The 17 such regions in 8 Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion, 9 Champaign-Urbana, Chicago-Naperville-Elgin, Danville, 10 Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria, 11 Rockford, St. Louis, Springfield, Northwest Illinois 12 nonmetropolitan area, West Central Illinois nonmetropolitan 13 area, East Central Illinois nonmetropolitan area, and South 14 Illinois nonmetropolitan area. 15 "By lot" means a randomized method of choosing between 2 16 or more Eligible Tied Applicants or 2 or more Qualifying 17 Applicants. 18 "Cannabis" means marijuana, hashish, and other substances 19 that are identified as including any parts of the plant 20 Cannabis sativa and including derivatives or subspecies, such 21 as indica, of all strains of cannabis, whether growing or not; 22 the seeds thereof, the resin extracted from any part of the 23 plant; and any compound, manufacture, salt, derivative, 24 mixture, or preparation of the plant, its seeds, or resin, 25 including tetrahydrocannabinol (THC) and all other naturally 26 produced cannabinol derivatives, whether produced directly or HB0032 - 2 - LRB103 03547 CPF 48553 b HB0032- 3 -LRB103 03547 CPF 48553 b HB0032 - 3 - LRB103 03547 CPF 48553 b HB0032 - 3 - LRB103 03547 CPF 48553 b 1 indirectly by extraction; however, "cannabis" does not include 2 the mature stalks of the plant, fiber produced from the 3 stalks, oil or cake made from the seeds of the plant, any other 4 compound, manufacture, salt, derivative, mixture, or 5 preparation of the mature stalks (except the resin extracted 6 from it), fiber, oil or cake, or the sterilized seed of the 7 plant that is incapable of germination. "Cannabis" does not 8 include industrial hemp as defined and authorized under the 9 Industrial Hemp Act. "Cannabis" also means cannabis flower, 10 concentrate, and cannabis-infused products. 11 "Cannabis business establishment" means a cultivation 12 center, craft grower, processing organization, infuser 13 organization, dispensing organization, or transporting 14 organization. 15 "Cannabis concentrate" means a product derived from 16 cannabis that is produced by extracting cannabinoids, 17 including tetrahydrocannabinol (THC), from the plant through 18 the use of propylene glycol, glycerin, butter, olive oil, or 19 other typical cooking fats; water, ice, or dry ice; or butane, 20 propane, CO2, ethanol, or isopropanol and with the intended 21 use of smoking or making a cannabis-infused product. The use 22 of any other solvent is expressly prohibited unless and until 23 it is approved by the Department of Agriculture. 24 "Cannabis container" means a sealed or resealable, 25 traceable, container, or package used for the purpose of 26 containment of cannabis or cannabis-infused product during HB0032 - 3 - LRB103 03547 CPF 48553 b HB0032- 4 -LRB103 03547 CPF 48553 b HB0032 - 4 - LRB103 03547 CPF 48553 b HB0032 - 4 - LRB103 03547 CPF 48553 b 1 transportation. 2 "Cannabis flower" means marijuana, hashish, and other 3 substances that are identified as including any parts of the 4 plant Cannabis sativa and including derivatives or subspecies, 5 such as indica, of all strains of cannabis; including raw 6 kief, leaves, and buds, but not resin that has been extracted 7 from any part of such plant; nor any compound, manufacture, 8 salt, derivative, mixture, or preparation of such plant, its 9 seeds, or resin. 10 "Cannabis-infused product" means a beverage, food, oil, 11 ointment, tincture, topical formulation, or another product 12 containing cannabis or cannabis concentrate that is not 13 intended to be smoked. 14 "Cannabis paraphernalia" means equipment, products, or 15 materials intended to be used for planting, propagating, 16 cultivating, growing, harvesting, manufacturing, producing, 17 processing, preparing, testing, analyzing, packaging, 18 repackaging, storing, containing, concealing, ingesting, or 19 otherwise introducing cannabis into the human body. 20 "Cannabis plant monitoring system" or "plant monitoring 21 system" means a system that includes, but is not limited to, 22 testing and data collection established and maintained by the 23 cultivation center, craft grower, or processing organization 24 and that is available to the Department of Revenue, the 25 Department of Agriculture, the Department of Financial and 26 Professional Regulation, and the Illinois State Police for the HB0032 - 4 - LRB103 03547 CPF 48553 b HB0032- 5 -LRB103 03547 CPF 48553 b HB0032 - 5 - LRB103 03547 CPF 48553 b HB0032 - 5 - LRB103 03547 CPF 48553 b 1 purposes of documenting each cannabis plant and monitoring 2 plant development throughout the life cycle of a cannabis 3 plant cultivated for the intended use by a customer from seed 4 planting to final packaging. 5 "Cannabis testing facility" means an entity registered by 6 the Department of Agriculture to test cannabis for potency and 7 contaminants. 8 "Clone" means a plant section from a female cannabis plant 9 not yet rootbound, growing in a water solution or other 10 propagation matrix, that is capable of developing into a new 11 plant. 12 "Community College Cannabis Vocational Training Pilot 13 Program faculty participant" means a person who is 21 years of 14 age or older, licensed by the Department of Agriculture, and 15 is employed or contracted by an Illinois community college to 16 provide student instruction using cannabis plants at an 17 Illinois Community College. 18 "Community College Cannabis Vocational Training Pilot 19 Program faculty participant Agent Identification Card" means a 20 document issued by the Department of Agriculture that 21 identifies a person as a Community College Cannabis Vocational 22 Training Pilot Program faculty participant. 23 "Conditional Adult Use Dispensing Organization License" 24 means a contingent license awarded to applicants for an Adult 25 Use Dispensing Organization License that reserves the right to 26 an Adult Use Dispensing Organization License if the applicant HB0032 - 5 - LRB103 03547 CPF 48553 b HB0032- 6 -LRB103 03547 CPF 48553 b HB0032 - 6 - LRB103 03547 CPF 48553 b HB0032 - 6 - LRB103 03547 CPF 48553 b 1 meets certain conditions described in this Act, but does not 2 entitle the recipient to begin purchasing or selling cannabis 3 or cannabis-infused products. 4 "Conditional Adult Use Cultivation Center License" means a 5 license awarded to top-scoring applicants for an Adult Use 6 Cultivation Center License that reserves the right to an Adult 7 Use Cultivation Center License if the applicant meets certain 8 conditions as determined by the Department of Agriculture by 9 rule, but does not entitle the recipient to begin growing, 10 processing, or selling cannabis or cannabis-infused products. 11 "Craft grower" means a facility operated by an 12 organization or business that is licensed by the Department of 13 Agriculture to cultivate, dry, cure, and package cannabis and 14 perform other necessary activities to make cannabis available 15 for sale at a dispensing organization or use at a processing 16 organization. A craft grower may contain up to 5,000 square 17 feet of canopy space on its premises for plants in the 18 flowering state. The Department of Agriculture may authorize 19 an increase or decrease of flowering stage cultivation space 20 in increments of 3,000 square feet by rule based on market 21 need, craft grower capacity, and the licensee's history of 22 compliance or noncompliance, with a maximum space of 14,000 23 square feet for cultivating plants in the flowering stage, 24 which must be cultivated in all stages of growth in an enclosed 25 and secure area. A craft grower may share premises with up to 2 26 other craft growers, an infuser organization, a cultivation HB0032 - 6 - LRB103 03547 CPF 48553 b HB0032- 7 -LRB103 03547 CPF 48553 b HB0032 - 7 - LRB103 03547 CPF 48553 b HB0032 - 7 - LRB103 03547 CPF 48553 b 1 center, a dispensing organization, or any combination thereof 2 a processing organization or a dispensing organization, or 3 both, provided each licensee stores currency and cannabis or 4 cannabis-infused products in a separate secured vault to which 5 the other licensee does not have access or all licensees 6 sharing a vault share more than 50% of the same ownership. 7 "Craft grower agent" means a principal officer, board 8 member, employee, or other agent of a craft grower who is 21 9 years of age or older. 10 "Craft Grower Agent Identification Card" means a document 11 issued by the Department of Agriculture that identifies a 12 person as a craft grower agent. 13 "Cultivation center" means a facility operated by an 14 organization or business that is licensed by the Department of 15 Agriculture to cultivate, process, transport (unless otherwise 16 limited by this Act), and perform other necessary activities 17 to provide cannabis and cannabis-infused products to cannabis 18 business establishments. 19 "Cultivation center agent" means a principal officer, 20 board member, employee, or other agent of a cultivation center 21 who is 21 years of age or older. 22 "Cultivation Center Agent Identification Card" means a 23 document issued by the Department of Agriculture that 24 identifies a person as a cultivation center agent. 25 "Currency" means currency and coin of the United States. 26 "Dispensary" means a facility operated by a dispensing HB0032 - 7 - LRB103 03547 CPF 48553 b HB0032- 8 -LRB103 03547 CPF 48553 b HB0032 - 8 - LRB103 03547 CPF 48553 b HB0032 - 8 - LRB103 03547 CPF 48553 b 1 organization at which activities licensed by this Act may 2 occur. 3 "Dispensary Applicant" means the Proposed Dispensing 4 Organization Name as stated on an application for a 5 Conditional Adult Use Dispensing Organization License. 6 "Dispensing organization" means a facility operated by an 7 organization or business that is licensed by the Department of 8 Financial and Professional Regulation to acquire cannabis from 9 a cultivation center, craft grower, processing organization, 10 or another dispensary for the purpose of selling or dispensing 11 cannabis, cannabis-infused products, cannabis seeds, 12 paraphernalia, or related supplies under this Act to 13 purchasers or to qualified registered medical cannabis 14 patients and caregivers. As used in this Act, "dispensing 15 organization" includes a registered medical cannabis 16 organization as defined in the Compassionate Use of Medical 17 Cannabis Program Act or its successor Act that has obtained an 18 Early Approval Adult Use Dispensing Organization License. 19 "Dispensing organization agent" means a principal officer, 20 employee, or agent of a dispensing organization who is 21 21 years of age or older. 22 "Dispensing organization agent identification card" means 23 a document issued by the Department of Financial and 24 Professional Regulation that identifies a person as a 25 dispensing organization agent. 26 "Disproportionately Impacted Area" means a census tract or HB0032 - 8 - LRB103 03547 CPF 48553 b HB0032- 9 -LRB103 03547 CPF 48553 b HB0032 - 9 - LRB103 03547 CPF 48553 b HB0032 - 9 - LRB103 03547 CPF 48553 b 1 comparable geographic area that satisfies the following 2 criteria as determined by the Department of Commerce and 3 Economic Opportunity, that: 4 (1) meets at least one of the following criteria: 5 (A) the area has a poverty rate of at least 20% 6 according to the latest federal decennial census; or 7 (B) 75% or more of the children in the area 8 participate in the federal free lunch program 9 according to reported statistics from the State Board 10 of Education; or 11 (C) at least 20% of the households in the area 12 receive assistance under the Supplemental Nutrition 13 Assistance Program; or 14 (D) the area has an average unemployment rate, as 15 determined by the Illinois Department of Employment 16 Security, that is more than 120% of the national 17 unemployment average, as determined by the United 18 States Department of Labor, for a period of at least 2 19 consecutive calendar years preceding the date of the 20 application; and 21 (2) has high rates of arrest, conviction, and 22 incarceration related to the sale, possession, use, 23 cultivation, manufacture, or transport of cannabis. 24 "Early Approval Adult Use Cultivation Center License" 25 means a license that permits a medical cannabis cultivation 26 center licensed under the Compassionate Use of Medical HB0032 - 9 - LRB103 03547 CPF 48553 b HB0032- 10 -LRB103 03547 CPF 48553 b HB0032 - 10 - LRB103 03547 CPF 48553 b HB0032 - 10 - LRB103 03547 CPF 48553 b 1 Cannabis Program Act as of the effective date of this Act to 2 begin cultivating, infusing, packaging, transporting (unless 3 otherwise provided in this Act), processing, and selling 4 cannabis or cannabis-infused product to cannabis business 5 establishments for resale to purchasers as permitted by this 6 Act as of January 1, 2020. 7 "Early Approval Adult Use Dispensing Organization License" 8 means a license that permits a medical cannabis dispensing 9 organization licensed under the Compassionate Use of Medical 10 Cannabis Program Act as of the effective date of this Act to 11 begin selling cannabis or cannabis-infused product to 12 purchasers as permitted by this Act as of January 1, 2020. 13 "Early Approval Adult Use Dispensing Organization at a 14 secondary site" means a license that permits a medical 15 cannabis dispensing organization licensed under the 16 Compassionate Use of Medical Cannabis Program Act as of the 17 effective date of this Act to begin selling cannabis or 18 cannabis-infused product to purchasers as permitted by this 19 Act on January 1, 2020 at a different dispensary location from 20 its existing registered medical dispensary location. 21 "Eligible Tied Applicant" means a Tied Applicant that is 22 eligible to participate in the process by which a remaining 23 available license is distributed by lot pursuant to a Tied 24 Applicant Lottery. 25 "Enclosed, locked facility" means a room, greenhouse, 26 building, or other enclosed area equipped with locks or other HB0032 - 10 - LRB103 03547 CPF 48553 b HB0032- 11 -LRB103 03547 CPF 48553 b HB0032 - 11 - LRB103 03547 CPF 48553 b HB0032 - 11 - LRB103 03547 CPF 48553 b 1 security devices that permit access only by cannabis business 2 establishment agents working for the licensed cannabis 3 business establishment or acting pursuant to this Act to 4 cultivate, process, store, or distribute cannabis. 5 "Enclosed, locked space" means a closet, room, greenhouse, 6 building, or other enclosed area equipped with locks or other 7 security devices that permit access only by authorized 8 individuals under this Act. "Enclosed, locked space" may 9 include: 10 (1) a space within a residential building that (i) is 11 the primary residence of the individual cultivating 5 or 12 fewer cannabis plants that are more than 5 inches tall and 13 (ii) includes sleeping quarters and indoor plumbing. The 14 space must only be accessible by a key or code that is 15 different from any key or code that can be used to access 16 the residential building from the exterior; or 17 (2) a structure, such as a shed or greenhouse, that 18 lies on the same plot of land as a residential building 19 that (i) includes sleeping quarters and indoor plumbing 20 and (ii) is used as a primary residence by the person 21 cultivating 5 or fewer cannabis plants that are more than 22 5 inches tall, such as a shed or greenhouse. The structure 23 must remain locked when it is unoccupied by people. 24 "Financial institution" has the same meaning as "financial 25 organization" as defined in Section 1501 of the Illinois 26 Income Tax Act, and also includes the holding companies, HB0032 - 11 - LRB103 03547 CPF 48553 b HB0032- 12 -LRB103 03547 CPF 48553 b HB0032 - 12 - LRB103 03547 CPF 48553 b HB0032 - 12 - LRB103 03547 CPF 48553 b 1 subsidiaries, and affiliates of such financial organizations. 2 "Flowering stage" means the stage of cultivation where and 3 when a cannabis plant is cultivated to produce plant material 4 for cannabis products. This includes mature plants as follows: 5 (1) if greater than 2 stigmas are visible at each 6 internode of the plant; or 7 (2) if the cannabis plant is in an area that has been 8 intentionally deprived of light for a period of time 9 intended to produce flower buds and induce maturation, 10 from the moment the light deprivation began through the 11 remainder of the marijuana plant growth cycle. 12 "Individual" means a natural person. 13 "Infuser organization" or "infuser" means a facility 14 operated by an organization or business that is licensed by 15 the Department of Agriculture to directly incorporate cannabis 16 or cannabis concentrate into a product formulation to produce 17 a cannabis-infused product. 18 "Kief" means the resinous crystal-like trichomes that are 19 found on cannabis and that are accumulated, resulting in a 20 higher concentration of cannabinoids, untreated by heat or 21 pressure, or extracted using a solvent. 22 "Labor peace agreement" means an agreement between a 23 cannabis business establishment and any labor organization 24 recognized under the National Labor Relations Act, referred to 25 in this Act as a bona fide labor organization, that prohibits 26 labor organizations and members from engaging in picketing, HB0032 - 12 - LRB103 03547 CPF 48553 b HB0032- 13 -LRB103 03547 CPF 48553 b HB0032 - 13 - LRB103 03547 CPF 48553 b HB0032 - 13 - LRB103 03547 CPF 48553 b 1 work stoppages, boycotts, and any other economic interference 2 with the cannabis business establishment. This agreement means 3 that the cannabis business establishment has agreed not to 4 disrupt efforts by the bona fide labor organization to 5 communicate with, and attempt to organize and represent, the 6 cannabis business establishment's employees. The agreement 7 shall provide a bona fide labor organization access at 8 reasonable times to areas in which the cannabis business 9 establishment's employees work, for the purpose of meeting 10 with employees to discuss their right to representation, 11 employment rights under State law, and terms and conditions of 12 employment. This type of agreement shall not mandate a 13 particular method of election or certification of the bona 14 fide labor organization. 15 "Limited access area" means a room or other area under the 16 control of a cannabis dispensing organization licensed under 17 this Act and upon the licensed premises where cannabis sales 18 occur with access limited to purchasers, dispensing 19 organization owners and other dispensing organization agents, 20 or service professionals conducting business with the 21 dispensing organization, or, if sales to registered qualifying 22 patients, caregivers, provisional patients, and Opioid 23 Alternative Pilot Program participants licensed pursuant to 24 the Compassionate Use of Medical Cannabis Program Act are also 25 permitted at the dispensary, registered qualifying patients, 26 caregivers, provisional patients, and Opioid Alternative Pilot HB0032 - 13 - LRB103 03547 CPF 48553 b HB0032- 14 -LRB103 03547 CPF 48553 b HB0032 - 14 - LRB103 03547 CPF 48553 b HB0032 - 14 - LRB103 03547 CPF 48553 b 1 Program participants. 2 "Member of an impacted family" means an individual who has 3 a parent, legal guardian, child, spouse, or dependent, or was 4 a dependent of an individual who, prior to the effective date 5 of this Act, was arrested for, convicted of, or adjudicated 6 delinquent for any offense that is eligible for expungement 7 under this Act. 8 "Mother plant" means a cannabis plant that is cultivated 9 or maintained for the purpose of generating clones, and that 10 will not be used to produce plant material for sale to an 11 infuser or dispensing organization. 12 "Ordinary public view" means within the sight line with 13 normal visual range of a person, unassisted by visual aids, 14 from a public street or sidewalk adjacent to real property, or 15 from within an adjacent property. 16 "Ownership and control" means ownership of at least 51% of 17 the business, including corporate stock if a corporation, and 18 control over the management and day-to-day operations of the 19 business and an interest in the capital, assets, and profits 20 and losses of the business proportionate to percentage of 21 ownership. 22 "Person" means a natural individual, firm, partnership, 23 association, joint stock company, joint venture, public or 24 private corporation, limited liability company, or a receiver, 25 executor, trustee, guardian, or other representative appointed 26 by order of any court. HB0032 - 14 - LRB103 03547 CPF 48553 b HB0032- 15 -LRB103 03547 CPF 48553 b HB0032 - 15 - LRB103 03547 CPF 48553 b HB0032 - 15 - LRB103 03547 CPF 48553 b 1 "Possession limit" means the amount of cannabis under 2 Section 10-10 that may be possessed at any one time by a person 3 21 years of age or older or who is a registered qualifying 4 medical cannabis patient or caregiver under the Compassionate 5 Use of Medical Cannabis Program Act. 6 "Principal officer" includes a cannabis business 7 establishment applicant or licensed cannabis business 8 establishment's board member, owner with more than 1% interest 9 of the total cannabis business establishment or more than 5% 10 interest of the total cannabis business establishment of a 11 publicly traded company, president, vice president, secretary, 12 treasurer, partner, officer, member, manager member, or person 13 with a profit sharing, financial interest, or revenue sharing 14 arrangement. The definition includes a person with authority 15 to control the cannabis business establishment, a person who 16 assumes responsibility for the debts of the cannabis business 17 establishment and who is further defined in this Act. 18 "Primary residence" means a dwelling where a person 19 usually stays or stays more often than other locations. It may 20 be determined by, without limitation, presence, tax filings; 21 address on an Illinois driver's license, an Illinois 22 Identification Card, or an Illinois Person with a Disability 23 Identification Card; or voter registration. No person may have 24 more than one primary residence. 25 "Processing organization" or "processor" means a facility 26 operated by an organization or business that is licensed by HB0032 - 15 - LRB103 03547 CPF 48553 b HB0032- 16 -LRB103 03547 CPF 48553 b HB0032 - 16 - LRB103 03547 CPF 48553 b HB0032 - 16 - LRB103 03547 CPF 48553 b 1 the Department of Agriculture to either extract constituent 2 chemicals or compounds to produce cannabis concentrate or 3 incorporate cannabis or cannabis concentrate into a product 4 formulation to produce a cannabis product. 5 "Processing organization agent" means a principal officer, 6 board member, employee, or agent of a processing organization. 7 "Processing organization agent identification card" means 8 a document issued by the Department of Agriculture that 9 identifies a person as a processing organization agent. 10 "Purchaser" means a person 21 years of age or older who 11 acquires cannabis for a valuable consideration. "Purchaser" 12 does not include a cardholder under the Compassionate Use of 13 Medical Cannabis Program Act. 14 "Qualifying Applicant" means an applicant that submitted 15 an application pursuant to Section 15-30 that received at 16 least 85% of 250 application points available under Section 17 15-30 as the applicant's final score and meets the definition 18 of "Social Equity Applicant" as set forth under this Section. 19 "Qualifying Social Equity Justice Involved Applicant" 20 means an applicant that submitted an application pursuant to 21 Section 15-30 that received at least 85% of 250 application 22 points available under Section 15-30 as the applicant's final 23 score and meets the criteria of either paragraph (1) or (2) of 24 the definition of "Social Equity Applicant" as set forth under 25 this Section. 26 "Qualified Social Equity Applicant" means a Social Equity HB0032 - 16 - LRB103 03547 CPF 48553 b HB0032- 17 -LRB103 03547 CPF 48553 b HB0032 - 17 - LRB103 03547 CPF 48553 b HB0032 - 17 - LRB103 03547 CPF 48553 b 1 Applicant who has been awarded a conditional license under 2 this Act to operate a cannabis business establishment. 3 "Resided" means an individual's primary residence was 4 located within the relevant geographic area as established by 5 2 of the following: 6 (1) a signed lease agreement that includes the 7 applicant's name; 8 (2) a property deed that includes the applicant's 9 name; 10 (3) school records; 11 (4) a voter registration card; 12 (5) an Illinois driver's license, an Illinois 13 Identification Card, or an Illinois Person with a 14 Disability Identification Card; 15 (6) a paycheck stub; 16 (7) a utility bill; 17 (8) tax records; or 18 (9) any other proof of residency or other information 19 necessary to establish residence as provided by rule. 20 "Smoking" means the inhalation of smoke caused by the 21 combustion of cannabis. 22 "Social Equity Applicant" means an applicant that is an 23 Illinois resident that meets one of the following criteria: 24 (1) an applicant with at least 51% ownership and 25 control by one or more individuals who have resided for at 26 least 5 of the preceding 10 years in a Disproportionately HB0032 - 17 - LRB103 03547 CPF 48553 b HB0032- 18 -LRB103 03547 CPF 48553 b HB0032 - 18 - LRB103 03547 CPF 48553 b HB0032 - 18 - LRB103 03547 CPF 48553 b 1 Impacted Area; 2 (2) an applicant with at least 51% ownership and 3 control by one or more individuals who: 4 (i) have been arrested for, convicted of, or 5 adjudicated delinquent for any offense that is 6 eligible for expungement under this Act; or 7 (ii) is a member of an impacted family; 8 (3) for applicants with a minimum of 10 full-time 9 employees, an applicant with at least 51% of current 10 employees who: 11 (i) currently reside in a Disproportionately 12 Impacted Area; or 13 (ii) have been arrested for, convicted of, or 14 adjudicated delinquent for any offense that is 15 eligible for expungement under this Act or member of 16 an impacted family. 17 Nothing in this Act shall be construed to preempt or limit 18 the duties of any employer under the Job Opportunities for 19 Qualified Applicants Act. Nothing in this Act shall permit an 20 employer to require an employee to disclose sealed or expunged 21 offenses, unless otherwise required by law. 22 "Tied Applicant" means an application submitted by a 23 Dispensary Applicant pursuant to Section 15-30 that received 24 the same number of application points under Section 15-30 as 25 the Dispensary Applicant's final score as one or more 26 top-scoring applications in the same BLS Region and would have HB0032 - 18 - LRB103 03547 CPF 48553 b HB0032- 19 -LRB103 03547 CPF 48553 b HB0032 - 19 - LRB103 03547 CPF 48553 b HB0032 - 19 - LRB103 03547 CPF 48553 b 1 been awarded a license but for the one or more other 2 top-scoring applications that received the same number of 3 application points. Each application for which a Dispensary 4 Applicant was required to pay a required application fee for 5 the application period ending January 2, 2020 shall be 6 considered an application of a separate Tied Applicant. 7 "Tied Applicant Lottery" means the process established 8 under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult 9 Use Dispensing Organization Licenses pursuant to Sections 10 15-25 and 15-30 among Eligible Tied Applicants. 11 "Tincture" means a cannabis-infused solution, typically 12 comprised of alcohol, glycerin, or vegetable oils, derived 13 either directly from the cannabis plant or from a processed 14 cannabis extract. A tincture is not an alcoholic liquor as 15 defined in the Liquor Control Act of 1934. A tincture shall 16 include a calibrated dropper or other similar device capable 17 of accurately measuring servings. 18 "Transporting organization" or "transporter" means an 19 organization or business that is licensed by the Department of 20 Agriculture to transport cannabis or cannabis-infused product 21 on behalf of a cannabis business establishment or a community 22 college licensed under the Community College Cannabis 23 Vocational Training Pilot Program. 24 "Transporting organization agent" means a principal 25 officer, board member, employee, or agent of a transporting 26 organization. HB0032 - 19 - LRB103 03547 CPF 48553 b HB0032- 20 -LRB103 03547 CPF 48553 b HB0032 - 20 - LRB103 03547 CPF 48553 b HB0032 - 20 - LRB103 03547 CPF 48553 b 1 "Transporting organization agent identification card" 2 means a document issued by the Department of Agriculture that 3 identifies a person as a transporting organization agent. 4 "Unit of local government" means any county, city, 5 village, or incorporated town. 6 "Vegetative stage" means the stage of cultivation in which 7 a cannabis plant is propagated to produce additional cannabis 8 plants or reach a sufficient size for production. This 9 includes seedlings, clones, mothers, and other immature 10 cannabis plants as follows: 11 (1) if the cannabis plant is in an area that has not 12 been intentionally deprived of light for a period of time 13 intended to produce flower buds and induce maturation, it 14 has no more than 2 stigmas visible at each internode of the 15 cannabis plant; or 16 (2) any cannabis plant that is cultivated solely for 17 the purpose of propagating clones and is never used to 18 produce cannabis. 19 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 20 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. 21 5-13-22.) 22 (410 ILCS 705/15-100) 23 Sec. 15-100. Security. 24 (a) A dispensing organization shall implement security 25 measures to deter and prevent entry into and theft of cannabis HB0032 - 20 - LRB103 03547 CPF 48553 b HB0032- 21 -LRB103 03547 CPF 48553 b HB0032 - 21 - LRB103 03547 CPF 48553 b HB0032 - 21 - LRB103 03547 CPF 48553 b 1 or currency. 2 (b) A dispensing organization shall submit any changes to 3 the floor plan or security plan to the Department for 4 pre-approval. All cannabis shall be maintained and stored in a 5 restricted access area during construction. 6 (c) The dispensing organization shall implement security 7 measures to protect the premises, purchasers, and dispensing 8 organization agents including, but not limited to the 9 following: 10 (1) Establish a locked door or barrier between the 11 facility's entrance and the limited access area; 12 (2) Prevent individuals from remaining on the premises 13 if they are not engaging in activity permitted by this Act 14 or rules; 15 (3) Develop a policy that addresses the maximum 16 capacity and purchaser flow in the waiting rooms and 17 limited access areas; 18 (4) Dispose of cannabis in accordance with this Act 19 and rules; 20 (5) During hours of operation, store and dispense all 21 cannabis from the restricted access area. During 22 operational hours, cannabis shall be stored in an enclosed 23 locked room or cabinet and accessible only to specifically 24 authorized dispensing organization agents; 25 (6) When the dispensary is closed, store all cannabis 26 and currency in a reinforced vault room in the restricted HB0032 - 21 - LRB103 03547 CPF 48553 b HB0032- 22 -LRB103 03547 CPF 48553 b HB0032 - 22 - LRB103 03547 CPF 48553 b HB0032 - 22 - LRB103 03547 CPF 48553 b 1 access area and in a manner as to prevent diversion, 2 theft, or loss; 3 (7) Keep the reinforced vault room and any other 4 equipment or cannabis storage areas securely locked and 5 protected from unauthorized entry; 6 (8) Keep an electronic daily log of dispensing 7 organization agents with access to the reinforced vault 8 room and knowledge of the access code or combination; 9 (9) Keep all locks and security equipment in good 10 working order; 11 (10) Maintain an operational security and alarm system 12 at all times; 13 (11) Prohibit keys, if applicable, from being left in 14 the locks, or stored or placed in a location accessible to 15 persons other than specifically authorized personnel; 16 (12) Prohibit accessibility of security measures, 17 including combination numbers, passwords, or electronic or 18 biometric security systems to persons other than 19 specifically authorized dispensing organization agents; 20 (13) Ensure that the dispensary interior and exterior 21 premises are sufficiently lit to facilitate surveillance; 22 (14) Ensure that trees, bushes, and other foliage 23 outside of the dispensary premises do not allow for a 24 person or persons to conceal themselves from sight; 25 (15) Develop emergency policies and procedures for 26 securing all product and currency following any instance HB0032 - 22 - LRB103 03547 CPF 48553 b HB0032- 23 -LRB103 03547 CPF 48553 b HB0032 - 23 - LRB103 03547 CPF 48553 b HB0032 - 23 - LRB103 03547 CPF 48553 b 1 of diversion, theft, or loss of cannabis, and conduct an 2 assessment to determine whether additional safeguards are 3 necessary; and 4 (16) Develop sufficient additional safeguards in 5 response to any special security concerns, or as required 6 by the Department. 7 (d) The Department may request or approve alternative 8 security provisions that it determines are an adequate 9 substitute for a security requirement specified in this 10 Article. Any additional protections may be considered by the 11 Department in evaluating overall security measures. 12 (e) A dispensing organization may share premises with up 13 to 3 craft growers, an infuser organization, a cultivation 14 center, or any combination thereof a craft grower or an 15 infuser organization, or both, provided each licensee stores 16 currency and cannabis or cannabis-infused products in a 17 separate secured vault to which the other licensee does not 18 have access or all licensees sharing a vault share more than 19 50% of the same ownership. 20 (f) A dispensing organization shall provide additional 21 security as needed and in a manner appropriate for the 22 community where it operates. 23 (g) Restricted access areas. 24 (1) All restricted access areas must be identified by 25 the posting of a sign that is a minimum of 12 inches by 12 26 inches and that states "Do Not Enter - Restricted Access HB0032 - 23 - LRB103 03547 CPF 48553 b HB0032- 24 -LRB103 03547 CPF 48553 b HB0032 - 24 - LRB103 03547 CPF 48553 b HB0032 - 24 - LRB103 03547 CPF 48553 b 1 Area - Authorized Personnel Only" in lettering no smaller 2 than one inch in height. 3 (2) All restricted access areas shall be clearly 4 described in the floor plan of the premises, in the form 5 and manner determined by the Department, reflecting walls, 6 partitions, counters, and all areas of entry and exit. The 7 floor plan shall show all storage, disposal, and retail 8 sales areas. 9 (3) All restricted access areas must be secure, with 10 locking devices that prevent access from the limited 11 access areas. 12 (h) Security and alarm. 13 (1) A dispensing organization shall have an adequate 14 security plan and security system to prevent and detect 15 diversion, theft, or loss of cannabis, currency, or 16 unauthorized intrusion using commercial grade equipment 17 installed by an Illinois licensed private alarm contractor 18 or private alarm contractor agency that shall, at a 19 minimum, include: 20 (i) A perimeter alarm on all entry points and 21 glass break protection on perimeter windows; 22 (ii) Security shatterproof tinted film on exterior 23 windows; 24 (iii) A failure notification system that provides 25 an audible, text, or visual notification of any 26 failure in the surveillance system, including, but not HB0032 - 24 - LRB103 03547 CPF 48553 b HB0032- 25 -LRB103 03547 CPF 48553 b HB0032 - 25 - LRB103 03547 CPF 48553 b HB0032 - 25 - LRB103 03547 CPF 48553 b 1 limited to, panic buttons, alarms, and video 2 monitoring system. The failure notification system 3 shall provide an alert to designated dispensing 4 organization agents within 5 minutes after the 5 failure, either by telephone or text message; 6 (iv) A duress alarm, panic button, and alarm, or 7 holdup alarm and after-hours intrusion detection alarm 8 that by design and purpose will directly or indirectly 9 notify, by the most efficient means, the Public Safety 10 Answering Point for the law enforcement agency having 11 primary jurisdiction; 12 (v) Security equipment to deter and prevent 13 unauthorized entrance into the dispensary, including 14 electronic door locks on the limited and restricted 15 access areas that include devices or a series of 16 devices to detect unauthorized intrusion that may 17 include a signal system interconnected with a radio 18 frequency method, cellular, private radio signals or 19 other mechanical or electronic device. 20 (2) All security system equipment and recordings shall 21 be maintained in good working order, in a secure location 22 so as to prevent theft, loss, destruction, or alterations. 23 (3) Access to surveillance monitoring recording 24 equipment shall be limited to persons who are essential to 25 surveillance operations, law enforcement authorities 26 acting within their jurisdiction, security system service HB0032 - 25 - LRB103 03547 CPF 48553 b HB0032- 26 -LRB103 03547 CPF 48553 b HB0032 - 26 - LRB103 03547 CPF 48553 b HB0032 - 26 - LRB103 03547 CPF 48553 b 1 personnel, and the Department. A current list of 2 authorized dispensing organization agents and service 3 personnel that have access to the surveillance equipment 4 must be available to the Department upon request. 5 (4) All security equipment shall be inspected and 6 tested at regular intervals, not to exceed one month from 7 the previous inspection, and tested to ensure the systems 8 remain functional. 9 (5) The security system shall provide protection 10 against theft and diversion that is facilitated or hidden 11 by tampering with computers or electronic records. 12 (6) The dispensary shall ensure all access doors are 13 not solely controlled by an electronic access panel to 14 ensure that locks are not released during a power outage. 15 (i) To monitor the dispensary, the dispensing organization 16 shall incorporate continuous electronic video monitoring 17 including the following: 18 (1) All monitors must be 19 inches or greater; 19 (2) Unobstructed video surveillance of all enclosed 20 dispensary areas, unless prohibited by law, including all 21 points of entry and exit that shall be appropriate for the 22 normal lighting conditions of the area under surveillance. 23 The cameras shall be directed so all areas are captured, 24 including, but not limited to, safes, vaults, sales areas, 25 and areas where cannabis is stored, handled, dispensed, or 26 destroyed. Cameras shall be angled to allow for facial HB0032 - 26 - LRB103 03547 CPF 48553 b HB0032- 27 -LRB103 03547 CPF 48553 b HB0032 - 27 - LRB103 03547 CPF 48553 b HB0032 - 27 - LRB103 03547 CPF 48553 b 1 recognition, the capture of clear and certain 2 identification of any person entering or exiting the 3 dispensary area and in lighting sufficient during all 4 times of night or day; 5 (3) Unobstructed video surveillance of outside areas, 6 the storefront, and the parking lot, that shall be 7 appropriate for the normal lighting conditions of the area 8 under surveillance. Cameras shall be angled so as to allow 9 for the capture of facial recognition, clear and certain 10 identification of any person entering or exiting the 11 dispensary and the immediate surrounding area, and license 12 plates of vehicles in the parking lot; 13 (4) 24-hour recordings from all video cameras 14 available for immediate viewing by the Department upon 15 request. Recordings shall not be destroyed or altered and 16 shall be retained for at least 90 days. Recordings shall 17 be retained as long as necessary if the dispensing 18 organization is aware of the loss or theft of cannabis or a 19 pending criminal, civil, or administrative investigation 20 or legal proceeding for which the recording may contain 21 relevant information; 22 (5) The ability to immediately produce a clear, color 23 still photo from the surveillance video, either live or 24 recorded; 25 (6) A date and time stamp embedded on all video 26 surveillance recordings. The date and time shall be HB0032 - 27 - LRB103 03547 CPF 48553 b HB0032- 28 -LRB103 03547 CPF 48553 b HB0032 - 28 - LRB103 03547 CPF 48553 b HB0032 - 28 - LRB103 03547 CPF 48553 b 1 synchronized and set correctly and shall not significantly 2 obscure the picture; 3 (7) The ability to remain operational during a power 4 outage and ensure all access doors are not solely 5 controlled by an electronic access panel to ensure that 6 locks are not released during a power outage; 7 (8) All video surveillance equipment shall allow for 8 the exporting of still images in an industry standard 9 image format, including .jpg, .bmp, and .gif. Exported 10 video shall have the ability to be archived in a 11 proprietary format that ensures authentication of the 12 video and guarantees that no alteration of the recorded 13 image has taken place. Exported video shall also have the 14 ability to be saved in an industry standard file format 15 that can be played on a standard computer operating 16 system. All recordings shall be erased or destroyed before 17 disposal; 18 (9) The video surveillance system shall be operational 19 during a power outage with a 4-hour minimum battery 20 backup; 21 (10) A video camera or cameras recording at each 22 point-of-sale location allowing for the identification of 23 the dispensing organization agent distributing the 24 cannabis and any purchaser. The camera or cameras shall 25 capture the sale, the individuals and the computer 26 monitors used for the sale; HB0032 - 28 - LRB103 03547 CPF 48553 b HB0032- 29 -LRB103 03547 CPF 48553 b HB0032 - 29 - LRB103 03547 CPF 48553 b HB0032 - 29 - LRB103 03547 CPF 48553 b 1 (11) A failure notification system that provides an 2 audible and visual notification of any failure in the 3 electronic video monitoring system; and 4 (12) All electronic video surveillance monitoring must 5 record at least the equivalent of 8 frames per second and 6 be available as recordings to the Department and the 7 Illinois State Police 24 hours a day via a secure 8 web-based portal with reverse functionality. 9 (j) The requirements contained in this Act are minimum 10 requirements for operating a dispensing organization. The 11 Department may establish additional requirements by rule. 12 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 13 102-538, eff. 8-20-21.) 14 (410 ILCS 705/30-30) 15 Sec. 30-30. Craft grower requirements; prohibitions. 16 (a) The operating documents of a craft grower shall 17 include procedures for the oversight of the craft grower, a 18 cannabis plant monitoring system including a physical 19 inventory recorded weekly, accurate recordkeeping, and a 20 staffing plan. 21 (b) A craft grower shall implement a security plan 22 reviewed by the Illinois State Police that includes, but is 23 not limited to: facility access controls, perimeter intrusion 24 detection systems, personnel identification systems, and a 25 24-hour surveillance system to monitor the interior and HB0032 - 29 - LRB103 03547 CPF 48553 b HB0032- 30 -LRB103 03547 CPF 48553 b HB0032 - 30 - LRB103 03547 CPF 48553 b HB0032 - 30 - LRB103 03547 CPF 48553 b 1 exterior of the craft grower facility and that is accessible 2 to authorized law enforcement and the Department of 3 Agriculture in real time. 4 (c) All cultivation of cannabis by a craft grower must 5 take place in an enclosed, locked facility at the physical 6 address provided to the Department of Agriculture during the 7 licensing process. The craft grower location shall only be 8 accessed by the agents working for the craft grower, the 9 Department of Agriculture staff performing inspections, the 10 Department of Public Health staff performing inspections, 11 State and local law enforcement or other emergency personnel, 12 contractors working on jobs unrelated to cannabis, such as 13 installing or maintaining security devices or performing 14 electrical wiring, transporting organization agents as 15 provided in this Act, or participants in the incubator 16 program, individuals in a mentoring or educational program 17 approved by the State, or other individuals as provided by 18 rule. However, if a craft grower shares a premises with an 19 infuser or dispensing organization, agents from those other 20 licensees may access the craft grower portion of the premises 21 if that is the location of common bathrooms, lunchrooms, 22 locker rooms, or other areas of the building where work or 23 cultivation of cannabis is not performed. At no time may an 24 infuser or dispensing organization agent perform work at a 25 craft grower without being a registered agent of the craft 26 grower. HB0032 - 30 - LRB103 03547 CPF 48553 b HB0032- 31 -LRB103 03547 CPF 48553 b HB0032 - 31 - LRB103 03547 CPF 48553 b HB0032 - 31 - LRB103 03547 CPF 48553 b 1 (d) A craft grower may not sell or distribute any cannabis 2 to any person other than a cultivation center, a craft grower, 3 an infuser organization, a dispensing organization, or as 4 otherwise authorized by rule. 5 (e) A craft grower may not be located in an area zoned for 6 residential use. 7 (f) A craft grower may not either directly or indirectly 8 discriminate in price between different cannabis business 9 establishments that are purchasing a like grade, strain, 10 brand, and quality of cannabis or cannabis-infused product. 11 Nothing in this subsection (f) prevents a craft grower from 12 pricing cannabis differently based on differences in the cost 13 of manufacturing or processing, the quantities sold, such as 14 volume discounts, or the way the products are delivered. 15 (g) All cannabis harvested by a craft grower and intended 16 for distribution to a dispensing organization must be entered 17 into a data collection system, packaged and labeled under 18 Section 55-21, and, if distribution is to a dispensing 19 organization that does not share a premises with the 20 dispensing organization receiving the cannabis, placed into a 21 cannabis container for transport. All cannabis harvested by a 22 craft grower and intended for distribution to a cultivation 23 center, to an infuser organization, or to a craft grower with 24 which it does not share a premises, must be packaged in a 25 labeled cannabis container and entered into a data collection 26 system before transport. HB0032 - 31 - LRB103 03547 CPF 48553 b HB0032- 32 -LRB103 03547 CPF 48553 b HB0032 - 32 - LRB103 03547 CPF 48553 b HB0032 - 32 - LRB103 03547 CPF 48553 b 1 (h) Craft growers are subject to random inspections by the 2 Department of Agriculture, local safety or health inspectors, 3 the Illinois State Police, or as provided by rule. 4 (i) A craft grower agent shall notify local law 5 enforcement, the Illinois State Police, and the Department of 6 Agriculture within 24 hours of the discovery of any loss or 7 theft. Notification shall be made by phone, in person, or 8 written or electronic communication. 9 (j) A craft grower shall comply with all State and any 10 applicable federal rules and regulations regarding the use of 11 pesticides. 12 (k) A craft grower or craft grower agent shall not 13 transport cannabis or cannabis-infused products to any other 14 cannabis business establishment without a transport 15 organization license unless: 16 (i) If the craft grower is located in a county with a 17 population of 3,000,000 or more, the cannabis business 18 establishment receiving the cannabis is within 2,000 feet 19 of the property line of the craft grower; 20 (ii) If the craft grower is located in a county with a 21 population of more than 700,000 but fewer than 3,000,000, 22 the cannabis business establishment receiving the cannabis 23 is within 2 miles of the craft grower; or 24 (iii) If the craft grower is located in a county with a 25 population of fewer than 700,000, the cannabis business 26 establishment receiving the cannabis is within 15 miles of HB0032 - 32 - LRB103 03547 CPF 48553 b HB0032- 33 -LRB103 03547 CPF 48553 b HB0032 - 33 - LRB103 03547 CPF 48553 b HB0032 - 33 - LRB103 03547 CPF 48553 b 1 the craft grower. 2 (l) A craft grower may enter into a contract with a 3 transporting organization to transport cannabis to a 4 cultivation center, a craft grower, an infuser organization, a 5 dispensing organization, or a laboratory. 6 (m) No person or entity shall hold any legal, equitable, 7 ownership, or beneficial interest, directly or indirectly, of 8 more than 3 craft grower licenses. Further, no person or 9 entity that is employed by, an agent of, or has a contract to 10 receive payment from or participate in the management of a 11 craft grower, is a principal officer of a craft grower, or 12 entity controlled by or affiliated with a principal officer of 13 a craft grower shall hold any legal, equitable, ownership, or 14 beneficial interest, directly or indirectly, in a craft grower 15 license that would result in the person or entity owning or 16 controlling in combination with any craft grower, principal 17 officer of a craft grower, or entity controlled or affiliated 18 with a principal officer of a craft grower by which he, she, or 19 it is employed, is an agent of, or participates in the 20 management of more than 3 craft grower licenses. 21 (n) It is unlawful for any person having a craft grower 22 license or any officer, associate, member, representative, or 23 agent of the licensee to offer or deliver money, or anything 24 else of value, directly or indirectly, to any person having an 25 Early Approval Adult Use Dispensing Organization License, a 26 Conditional Adult Use Dispensing Organization License, an HB0032 - 33 - LRB103 03547 CPF 48553 b HB0032- 34 -LRB103 03547 CPF 48553 b HB0032 - 34 - LRB103 03547 CPF 48553 b HB0032 - 34 - LRB103 03547 CPF 48553 b 1 Adult Use Dispensing Organization License, or a medical 2 cannabis dispensing organization license issued under the 3 Compassionate Use of Medical Cannabis Program Act, or to any 4 person connected with or in any way representing, or to any 5 member of the family of, the person holding an Early Approval 6 Adult Use Dispensing Organization License, a Conditional Adult 7 Use Dispensing Organization License, an Adult Use Dispensing 8 Organization License, or a medical cannabis dispensing 9 organization license issued under the Compassionate Use of 10 Medical Cannabis Program Act, or to any stockholders in any 11 corporation engaged in the retail sale of cannabis, or to any 12 officer, manager, agent, or representative of the Early 13 Approval Adult Use Dispensing Organization License, a 14 Conditional Adult Use Dispensing Organization License, an 15 Adult Use Dispensing Organization License, or a medical 16 cannabis dispensing organization license issued under the 17 Compassionate Use of Medical Cannabis Program Act to obtain 18 preferential placement within the dispensing organization, 19 including, without limitation, on shelves and in display cases 20 where purchasers can view products, or on the dispensing 21 organization's website. 22 (o) A craft grower shall not be located within 1,500 feet 23 of another craft grower or a cultivation center, unless the 24 craft grower shares premises with up to 2 other craft growers, 25 an infuser organization, a dispensing organization, or any 26 combination thereof as provided under the definition of "craft HB0032 - 34 - LRB103 03547 CPF 48553 b HB0032- 35 -LRB103 03547 CPF 48553 b HB0032 - 35 - LRB103 03547 CPF 48553 b HB0032 - 35 - LRB103 03547 CPF 48553 b 1 grower" in Section 1-10 or under subsection (e) of Section 2 15-100 or subsection (l) of Section 35-25. 3 (p) A craft grower may process cannabis, cannabis 4 concentrates, and cannabis-infused products. 5 (q) A craft grower must comply with any other requirements 6 or prohibitions set by administrative rule of the Department 7 of Agriculture. 8 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 9 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. 10 5-13-22.) 11 (410 ILCS 705/35-25) 12 Sec. 35-25. Infuser organization requirements; 13 prohibitions. 14 (a) The operating documents of an infuser shall include 15 procedures for the oversight of the infuser, an inventory 16 monitoring system including a physical inventory recorded 17 weekly, accurate recordkeeping, and a staffing plan. 18 (b) An infuser shall implement a security plan reviewed by 19 the Illinois State Police that includes, but is not limited 20 to: facility access controls, perimeter intrusion detection 21 systems, personnel identification systems, and a 24-hour 22 surveillance system to monitor the interior and exterior of 23 the infuser facility and that is accessible to authorized law 24 enforcement, the Department of Public Health, and the 25 Department of Agriculture in real time. HB0032 - 35 - LRB103 03547 CPF 48553 b HB0032- 36 -LRB103 03547 CPF 48553 b HB0032 - 36 - LRB103 03547 CPF 48553 b HB0032 - 36 - LRB103 03547 CPF 48553 b 1 (c) All processing of cannabis by an infuser must take 2 place in an enclosed, locked facility at the physical address 3 provided to the Department of Agriculture during the licensing 4 process. The infuser location shall only be accessed by the 5 agents working for the infuser, the Department of Agriculture 6 staff performing inspections, the Department of Public Health 7 staff performing inspections, State and local law enforcement 8 or other emergency personnel, contractors working on jobs 9 unrelated to cannabis, such as installing or maintaining 10 security devices or performing electrical wiring, transporting 11 organization agents as provided in this Act, participants in 12 the incubator program, individuals in a mentoring or 13 educational program approved by the State, local safety or 14 health inspectors, or other individuals as provided by rule. 15 However, if an infuser shares a premises with a craft grower or 16 dispensing organization, agents from these other licensees may 17 access the infuser portion of the premises if that is the 18 location of common bathrooms, lunchrooms, locker rooms, or 19 other areas of the building where processing of cannabis is 20 not performed. At no time may a craft grower or dispensing 21 organization agent perform work at an infuser without being a 22 registered agent of the infuser. 23 (d) An infuser may not sell or distribute any cannabis to 24 any person other than a dispensing organization, or as 25 otherwise authorized by rule. 26 (e) An infuser may not either directly or indirectly HB0032 - 36 - LRB103 03547 CPF 48553 b HB0032- 37 -LRB103 03547 CPF 48553 b HB0032 - 37 - LRB103 03547 CPF 48553 b HB0032 - 37 - LRB103 03547 CPF 48553 b 1 discriminate in price between different cannabis business 2 establishments that are purchasing a like grade, strain, 3 brand, and quality of cannabis or cannabis-infused product. 4 Nothing in this subsection (e) prevents an infuser from 5 pricing cannabis differently based on differences in the cost 6 of manufacturing or processing, the quantities sold, such 7 volume discounts, or the way the products are delivered. 8 (f) All cannabis infused by an infuser and intended for 9 distribution to a dispensing organization must be entered into 10 a data collection system, packaged and labeled under Section 11 55-21, and, if distribution is to a dispensing organization 12 that does not share a premises with the infuser, placed into a 13 cannabis container for transport. All cannabis produced by an 14 infuser and intended for distribution to a cultivation center, 15 infuser organization, or craft grower with which it does not 16 share a premises, must be packaged in a labeled cannabis 17 container and entered into a data collection system before 18 transport. 19 (g) Infusers are subject to random inspections by the 20 Department of Agriculture, the Department of Public Health, 21 the Illinois State Police, local law enforcement, or as 22 provided by rule. 23 (h) An infuser agent shall notify local law enforcement, 24 the Illinois State Police, and the Department of Agriculture 25 within 24 hours of the discovery of any loss or theft. 26 Notification shall be made by phone, in person, or by written HB0032 - 37 - LRB103 03547 CPF 48553 b HB0032- 38 -LRB103 03547 CPF 48553 b HB0032 - 38 - LRB103 03547 CPF 48553 b HB0032 - 38 - LRB103 03547 CPF 48553 b 1 or electronic communication. 2 (i) An infuser organization may not be located in an area 3 zoned for residential use. 4 (j) An infuser or infuser agent shall not transport 5 cannabis or cannabis-infused products to any other cannabis 6 business establishment without a transport organization 7 license unless: 8 (i) If the infuser is located in a county with a 9 population of 3,000,000 or more, the cannabis business 10 establishment receiving the cannabis or cannabis-infused 11 product is within 2,000 feet of the property line of the 12 infuser; 13 (ii) If the infuser is located in a county with a 14 population of more than 700,000 but fewer than 3,000,000, 15 the cannabis business establishment receiving the cannabis 16 or cannabis-infused product is within 2 miles of the 17 infuser; or 18 (iii) If the infuser is located in a county with a 19 population of fewer than 700,000, the cannabis business 20 establishment receiving the cannabis or cannabis-infused 21 product is within 15 miles of the infuser. 22 (k) An infuser may enter into a contract with a 23 transporting organization to transport cannabis to a 24 dispensing organization or a laboratory. 25 (l) An infuser organization may share premises with up to 26 3 craft growers, a cultivation center, a dispensing HB0032 - 38 - LRB103 03547 CPF 48553 b HB0032- 39 -LRB103 03547 CPF 48553 b HB0032 - 39 - LRB103 03547 CPF 48553 b HB0032 - 39 - LRB103 03547 CPF 48553 b 1 organization, or any combination thereof a craft grower or a 2 dispensing organization, or both, provided each licensee 3 stores currency and cannabis or cannabis-infused products in a 4 separate secured vault to which the other licensee does not 5 have access or all licensees sharing a vault share more than 6 50% of the same ownership. 7 (m) It is unlawful for any person or entity having an 8 infuser organization license or any officer, associate, 9 member, representative or agent of such licensee to offer or 10 deliver money, or anything else of value, directly or 11 indirectly to any person having an Early Approval Adult Use 12 Dispensing Organization License, a Conditional Adult Use 13 Dispensing Organization License, an Adult Use Dispensing 14 Organization License, or a medical cannabis dispensing 15 organization license issued under the Compassionate Use of 16 Medical Cannabis Program Act, or to any person connected with 17 or in any way representing, or to any member of the family of, 18 such person holding an Early Approval Adult Use Dispensing 19 Organization License, a Conditional Adult Use Dispensing 20 Organization License, an Adult Use Dispensing Organization 21 License, or a medical cannabis dispensing organization license 22 issued under the Compassionate Use of Medical Cannabis Program 23 Act, or to any stockholders in any corporation engaged the 24 retail sales of cannabis, or to any officer, manager, agent, 25 or representative of the Early Approval Adult Use Dispensing 26 Organization License, a Conditional Adult Use Dispensing HB0032 - 39 - LRB103 03547 CPF 48553 b HB0032- 40 -LRB103 03547 CPF 48553 b HB0032 - 40 - LRB103 03547 CPF 48553 b HB0032 - 40 - LRB103 03547 CPF 48553 b 1 Organization License, an Adult Use Dispensing Organization 2 License, or a medical cannabis dispensing organization license 3 issued under the Compassionate Use of Medical Cannabis Program 4 Act to obtain preferential placement within the dispensing 5 organization, including, without limitation, on shelves and in 6 display cases where purchasers can view products, or on the 7 dispensing organization's website. 8 (n) At no time shall an infuser organization or an infuser 9 agent perform the extraction of cannabis concentrate from 10 cannabis flower. 11 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 12 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. 13 5-13-22.) 14 Section 99. Effective date. This Act takes effect upon 15 becoming law. HB0032 - 40 - LRB103 03547 CPF 48553 b